How GAI Logistics Reduced Picking and Packing Time to 1 min Per Order 

Case Studies

Global Ai Logistics Sdn. Bhd. (GAI Logistics) is a young, dynamic complete logistics provider in Malaysia. The company offers secure and flexible distribution solutions for business of all sizes. They even provide cross-border fulfillment in Singapore. With an experienced team, cutting-edge technology, and scalable solutions, GAI Logistics tailors their services to meet the unique needs of their clients. They also aim to redefine the logistics service experience, improve efficiency, and help businesses succeed in today’s competitive market.

GAI Logistics is recognized as a significant networking platform with astounding opportunities to connect with different industries. To excel to this extent, the logistics company set a strong foundation for its operations and services with the help of in-depth research and smart technology that works for their business.

Let’s take a look at what they focused on to ensure their success from inception to date by understanding the challenges they wanted to avoid and the solutions they wanted to implement.

Challenges

During their first year of operation, GAI Logistics observed the different areas of their business that needed support and enhancement based on the kind of operations they performed and wanted to provide their clients. They planned to boost stock management, inbounding, and out bounding. After assessing their internal processes and performance, they identified the following obstacles obstructing their endeavors to enhance customer service:

1. Human errors

GAI Logistics wanted to avoid human errors as it affects service quality, customer experience, and ultimately revenue. Human errors are very common when performing large volumes of repetitive tasks. One way to reduce the error rate was for the warehouse staff to slow down while performing each task. But this would lead to more time spent on order processing, picking and packing. In turn, it would caused delays, losses and unhappy customers. As a warehouse service provider, GAI Logistics did not want to display such issues. They wanted to offer their clients the absolute best in the market.

2. Limited support to foreign clients

While GAI logistics supports many local clients, the company also aids foreign clients looking to launch their business in Malaysia. Their foreign clients usually need local warehouse storage to reduce delivery costs for the products they sell online in Malaysia. One such client used the warehousing facility offered by GAI Logistics, but managed processes manually with approximately 20 staff members. The manual process was messy, especially when they wanted to trace previous order data related to returns and exchanges.

3. Lack of sales channel integrations

Working with different clients to fulfill their e-commerce orders meant that GAI Logistics received orders from multiple sales platforms. To acquire order information, they, had to collect it from their clients and manually process and fulfill each order. This was often a slow process that made it difficult to meet SLA requirements.

4. Perishable inventory management issues

Initially, GAI Logistics used Excel and manual processes to manage their product storage. However, this proved insufficient as they served clients who required product batch and expiry management and temperature-controlled storage. Their manual inventory management techniques especially caused challenges when clients sent products with expiry dates that were approaching sooner than those products from the previous batch sent over.

5. Difficulty managing client inventory reports

Managing client inventory the traditional way also made it difficult to create reports for clients every month. The reports generated often didn’t match the inventory in the warehouse and it was difficult to backtrack disputed orders (that is returns and exchanges due to damage, wrong product, etc.), to identify where the problem arose.

6. Creation and management of physical bundles and kits

Many of GAI Logistics’ clients doing e-commerce wanted to offer bundles and kits for Christmas sales, Chinese New Year, and other festive sales. To support this requirement, they often created kits and bundles of their inventory and sent it to the Gai Logistics warehouse. This meant additional inventory storage needs and tasks for clients to create special inventory bundles.

Implementation

With a list of target areas to improve within their warehouse, GAI Logistics decided it was time to invest in a warehouse management solution. The logistics provider spoke with multiple providers; however, their solutions came across as very traditional or needed development from scratch with in-house management. GAI Logistics was looking for a more supportive system built with SaaS technology.

After researching their options and speaking with their peers in the industry, they stumbled upon Anchanto. A demonstration of the Anchanto Warehouse Management System showed GAI Logistics that the software matched the capabilities they needed to serve their clients better.

Solutions

With Anchanto’s innovative SaaS solutions, GAI Logistics was able to resolve their pressing challenges and add significant value to their services. The company obtained speed, agility, profitability, and a high level of customer satisfaction. Let’s look at how GAI Logistics achieved these results:

1. Automation of data flow

With Anchanto Warehouse Management, GAI Logistics was able to automate internal processes. This enabled them to speed up order picking, packing, and dispatching operations. Introducing automation also minimized human errors, delivery delays, losses, and increased customer satisfaction.

2. Cross-border fulfillment and improved support to foreign clients

GAI Logistics was able to enhance their services for foreign clients with the help of Anchanto Warehouse Management. The WMS supports cross-border fulfillment and was able to reduce the cost of labor for order and inventory management. GAI Logistics’ Singapore client was able to cut down their staff requirement in Malaysia to just 2 to 3 people with the support of Anchanto’s technology. Moreover, with most of the warehousing and fulfillment operations now automated, the logistics company’s client received all inventory data in digital format, which was easier to read and manage.

3. Ready integrations with sales channels

Integrating with the different online marketplaces their clients sell on allows GAI Logistics to automate the flow of order data to their WMS. This saves a lot of time and prevents errors. With the help of Anchanto, the logistics provider was able to integrate with their client’s web stores. This helped them process orders, pick and pack the inventory for the same, and then provide the order to the relevant carrier in record time.

4. Special inventory storage capabilities

To manage inventory today, GAI logistics can input a lot more product information into their inventory records, like product pictures, batch and expiry dates, inventory temperature requirements, etc. This is very helpful to the logistics provider as it enables them to effectively sort, store and manage inventory with special storage needs. For example, inventory that will expire soon is stored at the front or the top of racks to ensure they are picked and dispatched first. This process is implemented even if the new stock batches contain units that are going to expire before the units from the previous stock onboarded.

At the warehouse, some skincare and healthcare products (like creams and supplements) require temperature-controlled storage to maintain their quality and consistency. As a result, the WMS is programmed to ensure that the inventory inbounded for these products is always directed for storage in temperature-controlled areas.

5. Detailed report extraction and backend access to clients

At the end of every month, GAI Logistics can now send detailed reports to their clients about the inventory inbounded, dispatched, returned, damaged, and remaining through Anchanto Warehouse Management. The logistics company can also provide clients with access to the backend of the WMS. That means each client can see (only) their own inventory insights in real-time. By providing access to the backend of the WMS, GAI Logistics also saves time sorting client queries about fulfillment, returns, and inventory quantities.

The WMS even captures the serial numbers of products to track where they were sent. So, when end consumers try to claim product warranty, exchanges, or returns, the client can determine if it’s for the correct product.

6. Easy kit and bundle creation and management

For clients interested in selling kits and bundles, especially during festive sales, GAI Logistics can now simplify the backend process. With Anchanto Warehouse Management, the logistics company and their clients no longer have to create separate SKUs or retain special inventory for these promotions. They can create them on the relevant sales channels, while the WMS automatically identifies the group of items needed and their locations in the warehouse to fulfill the orders for kits and bundles.

7. Faster, accurate picking and packing

Anchanto’s WMS technology supports RF scanners via the Anchanto app. This enables pickers to scan inventory and capture product information within the WMS. During the picking process, this app also helps identify the correct inventory for orders received. This has drastically reduced many human errors and the picking and the packing time to 1 minute per order.

Additionally, the WMS allows GAI Logistics to easily identify the pickers and packers per order and the steps they took to troubleshoot issues and show clients that the processes followed were accurate. This helps identify if customers are being dishonest and helps GAI Logistics trace where a product might have been damaged during. That is either during the picking process or during transit.

Given that Anchanto plays an integral role in streamlining and adding value to their services, GAI Logistics is on the mission to explore new ways to implement Anchanto’s other SaaS solutions as well. The logistics company plans to acquire a larger warehouse in the near future to serve more clients. They claim that Anchanto will be at the core of ensuring the success of this new facility and the happiness of their clients.

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